Ahead of the biggest Consumer ProductTechnology Event of the year. Electric is the buzz word at the motor show, but a debate rages on across german cities. We have have clear vatgy because our objective is that every car can enter into the center of a city and we would find solutions with the government and the is regulator to do something very good for our customers. Welcome, everybody. Lets take a look at these markets and see what they are doing. We inherited a strong lead from asia over there. In asia. Damages from Hurricane Irma appear to be relatively lower than initially forecast, so thats helped sentiment. North korea didnt follow through with a missile test or a Missile Launch over the course of the weekend and broadly we are seeing the u. S. Dollar consolidating, as well the ftse 100 is up by. 2 of and modest gains for the cac 40 and the mib. Financial services and banks are up today leading the the game as travel and leisure, Household Goods under water, but not to the a great extent the worlds automakersare in frankfurt grappling with tough issues ahead had including autonomy, selfdriving cars and the automakers are havent had pretty reasonable day. We are looking at gains here with the exception of chrysler which is down by about. 5 throughout the morning, weve been asking whether diesel has a future in the Auto Industry and here is what they have to say. Well, the diesel issue is a dynamic issue for well known reasons. But the discussion were seeing now is unjustified we will have Clear Strategy because our objective is every car can enter into the center of the city and we will find a way to do something very good for our customers. Yes, diesel will play a par in it and yes, diesel is the in focus at the moment and i think diesel will have a future in this technology, as well consumers are are concerned b about whats coming next and a little confused by the message they see from regulators and the media. But often them information they need to help understand the facts behind the different power train and Vehicle Options there are and give them a choice of vehicle types and power trains to meet the use that theyve got. And annette joins us now from the frankfurt motor show its interesting, the diesel models are on display, they are in evidence here at this show. So despite the candle. So talk us through the good, the bad and the ugly of this show. Actually, its the perfect storm for the car industry, isnt it diesel makes up a huge figure of their sales volume on average. The Carbon Dioxide emissions are lower than with petrol with the Diesel Scandal, they are quite adamant. They have to try to convince policymakers they are facing bans all over the world in major cities because mayors across the world are concerned about air qualities in big metropolitan areas. But a lot of carmakers, of course, have been criticized for being behind the cousin, the likes of audi, volkswagen, bmw, you name it. All of them were criticized for being lame when it comes to electrification, when it comes to embracing the future of the car industry and we caught up yesterday with the ceo of audi, one of the major luxurious Car Companies belonging with the volkswagen holding and i asked him what he thinks, how well prepared audi is for the future. Take a listen. The german car industry has invested in the last few years and months in electric technology now step by step coming up with really good electric cars, audi start, a Pure Electric car next year with a range of 500 kilometers it is a nice car, very emotional, good range, and i would say this is a good starting point and i would see at least one additional car year on year will come to the market. So our expectation is until 2025, 35 of our cars will be Pure Electric and, of course, the model range will be greater than ever. How are you going to talkel the problem of charging stations across the country, across europe, across the world because for now, it seems that this is still a bottleneck had yeah, it is a small bottleneck today we are looking for high charging which means you can refill at least 8 of the range. There is a Big Initiative now in america with Electrify America for the Volkswagen Group here there is a great effort done by a consortium of efforts because we believe a good infrastructure is a must in china, of course, the government is pushing very strongly. So i would say in the next one or two years, the level of infrastructure is well prepared. Okay. Let us move out a little bit and look at the numbers. Your margins are still lacking behind compared to the likes of daimler. Are you planning on cutting more costs . What are you planning on doing i would say the first half of year was not so bad. And we had an operating margin of between 8 and 9 of course we are controlling costs better than ever we are looking for additional performance and with the investment of the last one or two years, we will see 2018, 19, 2020, an upcoming portfolio of products where we think we can really, really come back so as everybody of these luxurious carmakers are trying to electrify their fleet, there is increased competition for customers. There has been a lack of confidence from customers in the industry and i think above all because of the Diesel Scandal and kind of nobody really knows how the future will going to be looked like. But, of course, history on the ground, the passwords are electrification, autonomous driving, and the carmakers are presenting cars without steering wheels, without pedals because they are quite proud to have these models already in place. And at the same time, were talking about more sharing of cars so the shared economy is also a buzz word here on the ground sri. And thats a you and i know that vp absolutely personify the diesels emissions scandal. Im just curious to know what they have to say for themselves at this frankfurt motor show and how far have they gone in terms of brand rehabilitation. Well, theyre not saying a lot about the Diesel Scandal because obviously that is a legal concern for them they are constrained by what they can say they are saying they hope to get a settlement during the course of the next two months perhaps they are hoping to get clarity when it comes to potential bans of major vehicles in germany and elsewhere. They are admitting there is a lot of insecurity surrounding the engines, the diesel eks, and i think they try to console not console. They try to reassure customers that a complete ban of diesel vehicles is not on the table this is not what they are discussing but they are encouraging all of the customers to swap older diesels with newer diesels and some of them give away a certain premium to customers to change their vehicles so i think its damage control one could call it. Thank you very much for that and the michelin man is at least smiling in the background and looking bouncy coming up, annette will be joined by psa Group ChairmanCarlos Tavares moving on, irma has been downgraded to a tropical depression with winds as high as 35 Miles Per Hour as the storm heads north through the u. S. Southeast. Irma still packs heavy rainfall. Meanwhile, hurricane jose is stalling east of the bahamas is expected to continue weakening Nbcs Jay Gray reports from already. As irma continues its destructive run through the southeast, were getting a closer look where the storm first made landfall in the u. S it blew everything apart. It looks like a nuclear bomb went off irma exploded through the keys, leaving a trail of twisted metal, splittered wood and little else across the barrier islands. Big, bad real bad going to take months, maybe a year to get this cleaned up. All of florida will be dealing with the effects of the storm for a long time. Weve got downed power lines all across the state weve got roads impassable still across the state weve got debris all over the state. Miami, orlando, garden city, naples and jacksonville. Where the water still rising this is potentially a weeklong event with water and the tides coming and going the. It could take longer than a week to restore power for some of thor more than 5 million still without it right now it is a magnitude that we just havent seen before irma, overwhelming for so many here, even as the sounds of the wind and rain are replaced by sawes and stacked debris. Officials in florida say the recovery from irma had will cost tens of billions o a 17 rise in rental revenue which makes it one of the stoxx 600s biggest rises today. The post storm cleanup will increase demand for its tools. Coming up on the show, toshiba is reportedly selling its memory chip unit for about 2 trillion yen. Well have all the details like from the notify in a few minutes. Whuuuuuat . Rtgage offer from the bank today. You never just get one offer. Go to lendingtree. Com and shop multiple loan offers for free free . Yeah. Could save thousands. You should probably buy me dinner. No. Go to lendingtree. Com for a new home loan or refinance. Receive up to five free offers and choose the loan thats right for you. Sfoo could lower their monthly bills by over three hundred dollars. Go to lendingtree. Com right now. Do i use a toothpaste that whitens my teeth or. One thats good for my teeth . Now i dont have to choose my dentist told me about new crest whitening therapy. So, i tried it from crest 3d white comes new whitening therapy. Its our best whitening technology. Plus, it has a fortifying formula to protect your enamel. Now i get a whiter smile and healthy teeth, all in one. The 3d white collection from crest. Healthy, beautiful smiles for life. The u. N. Security council has agreed to impose new sanctions on north korea. The the accused sanctions are weaker than those originally proposed by the u. S. It was a swift move to the security cll to say no the regime it was unanimous vote, but its a rather diluted version than the sanctions washington would have wanted. It does not have an oil embargo, but it does manage to put a cap on the oil supplies to north korea at the current level other items include a ban on north koreas number two export item which is textiles and a ban on north korean labor overseas but whats more interesting at this point is relevant countries reaction after the vote south korea and japan welcomed the resolution while china and russia said sanctions are not a on north korea. Back to you. And conversation over the ownership of toshibas memory chip unit is intense phiing as they increase their offers to the cashstrapped electronicsmaker makiko has more from the notify. Toshiba is scheduled to have a Board Meeting tomorrow and was hoping to officially decide on a buyer by then. The reports said toshiba had decided on western for business partners, but toshiba announced nothing has been determined as of yet toshiba had given exclusive negotiating rights seeking voting rights. And as negotiations seem to stall, rival bitter u. S. Investment bank bain capital along with a south korean chipmaker sweeten dollars the deal they will provide funds to Toshiba Memory until it has listed on the stock market as well as providing 4 billion annually for research and development and other investments to help the firm reestablish itself in the market apple, who is Toshiba Memorys biggest client has also been dragged in, being asked to come on board for the negotiations. Meanwhile, taiwans hanhai is offering the biggest bid for the memory unit, asking apple for support. So its becoming increasingly likely for a clear outcome to emerge tomorrow and negotiations are likely to go on at least until the next Board Meeting scheduled later this month and thats all from the nikkei back to you. Makiko, thank you very much indeed for that. Now, apple shares had their best day in over a month ahead of the biggest Consumer Technology product event of the year the tech giant will peel back the cover on three new phones including the widely anticipateded iphone x and an event on its campus later today. Josh lipton tells us what to expect you can see the main ringshaped building right behind me here and the campus really does reflect the vision of steve jobs in fact, this campus was so important to jobs that he personally plans for the council just a few months before he passed away in 2011. I think we have a shot at building the best Office Building in the world. I really do think architecture students will come here to see this i think its that good the event is going to take place at the new steve jobs theater, an auditorium that seats 1,000. We expect to see a new flagship iphone from apple. The features include a display that would show colors much more vibrantly, maybe facial recognition to unlock that device, improved wireless system and better charging. The expected price, 1,000 can apple respect live up to these lofty expectations were going to soon find out josh lipton there and in this weeks trader poll, are you hanging up on the stock, yes, no or maybe youre waiting for the reaction to the larchb. Either way, the game of phones continues. Head to traderpoll. Cnbc. Com to have your say and head to cnbc. Com to read more about apples big event we have several stories including an article on how the product type could set the tone for trading today. A look at what wall streets expectations for the launch are and the take of one widely followed analyst who tells krn the iphonex will be in, quote, severe short supply. Now, italian finance minister pierre carlo has met his counterpa part lemaire tweeted he wants to strike a deal with italy by the end of this month. In july, france ordered a temporary nationalization of fdx after italian chip builder agreed to buy a large stake in the company. Eye wear marks lexotica and essilor will meet with eu regulators to discuss their merger previously it was said the merger requires careful vetting. Cmas acceptance of the proposals should clear the way for the 2. 2 billion merger to go through it will create the largest player in the uk Industrial Services sectors berlin says it has canceled around 70 flights because pilots have called in sick. This comes as a deadline approaches for bids for the bankrupt Airline Air Berlin piled for bankrupt last month after a shareholder pulled funding following years of losses. Germanys pilots unit has not yet commented on the sick calls. Berlins ryan air has conif firmed its interest in the carriers, but says it wont line up a bid until lufthansa ends its talks. Ryan air says it will continue operating as a separate airline. Novartis has been accepted for review by the u. S. Food and Drug Administration the drug has already been approved is in europe. Coming up on the show ahead of the bank of englands next meeting, well have the uks latest inflation read after the break. Join us throughout the day for our coverage of tax reform, markets and north korea with many special guests. Your brain is an amazing thing. But as you get older, it naturally begins to change, causing a lack of sharpness, or even trouble with recall. Thankfully, the breakthrough in prevagen helps your brain and actually improves memory. The secret is an ingredient originally discovered. In jellyfish. In clinical trials, prevagen has been shown to improve shortterm memory. Prevagen. The name to remember. And im the founder of ugmonk. Before shipstation it was crazy. Its great when you see a hundred orders come in, a hundred orders come in, but then you realize ive got a hundred orders i have to ship out. Shipstation streamlined that wh the order data, the weights of , everything is seamlessly put into shipstation, so when we print the shipping ll everythings pretty much done. Its so much easier so now, were ready, bring on t. Shipstation. The number one ch of online sellers. Go to shipstation. Com tv and get two months free. Welcome back to street signs. European equities open in the green but fail to match the gains seen in the u. S. And asia. House builders weigh on the stoxx 600. Electric is the buzz world at the frankfurt motor show, but the diesel dilemma casts a shadow as Ian Robertson tells cnbc that the controversial fuel source is not dead yes, diesel will play a part in it. Yes, deeszel is in the focus of the moment and yes, diesel will have a future within this technology, as well. Apple shares close up almost 2 as investors cheer details leaked to the press ahead of the biggest consumer Technology Event of the year. Okay lets have a look at this data from the uk. Clothing, fuel prices helped to push. Up inmragz and the cost of factories, Raw Materials, as cording to the ons sterling hitting a fourweek high of 90. 65 per euro before that uk inflation broke and sterling extending august inflation looking quite constructive, those numbers just out. Right. Lets take a look at the broader fx markets as we noted, sterling, cable is performing strongly and is rising as we speak, up by. 6 of a percent. 1. 3243 is where we are standing. Although the safe havens are unwinding, the dollar is strength bing against the swiss franc. European markets, some risk on but just at the margins. And lets not forget that we continue to monitor the geopolitics which have abated and also Hurricane Irma and the destruction that it has caused, clearly human toll, clear human tragedy, but from the perspective of the economic hit, it looks as though its not going to be as bad as initially forecast and markets priced to get some relief as a result of that in terms of data, were a bit light on the ground stateside, although we have cpi and retail sales to look forward to this month is going to be important, of course, because the expectations of the Balance Sheet normalization. All right. Close to home, british lawmakers voted in favor of legislation to break ties with the eu in its second riding. Mps